FX.co ★ Wave analysis of the GBP/USD currency pair for November 8, 2017

Analysis of wave counting:

The attempt to resume the expected downward movement ended yesterday was not achieved, and after reaching the mark of 1.3110, the GBP/USD pair returned to the opening levels of the day. The resulting wave situation makes it possible to assume that the currency pair has good prospects for transition to the stage of formation of the first generating waves in the composition of the third wave, in c, in the 4th. If this is the case, wave b, in the 4th, nevertheless, will not further complicate its wave structure, and the currency pair will continue to show a decline in quotations in the direction of the level of the 30th figure.

Targets for a downward wave option:

1.3065 - 38.2% by Fibonacci

1.2882 - 50.0% by Fibonacci

Targets for an upward wave option:

1.3291 - 23.6% by Fibonacci

1.3400

General conclusions and trading recommendations:

The construction of the downward wave 4 in the upward trend section continues. Now it is possible to reduce quotations with targets near the estimated level of 1.2882, which corresponds to 50.0% of Fibonacci, within wave 3, in c, in 4. Wave b, in 4 supposedly completed its construction.